Stocks are poised for another brutal down open. Fear of a prolonged conflict with the U.S. is spooking traders, as a ground war in Afghanistan looks increasingly likely.

A bomb threat that led to the evacuation of the London Stock Exchange has spooked traders, too.

Dow futures have been down 600 points, and are currently pointing to at least a 400 point drop. The fact that today is triple witching day is adding to the volatility. There are also fears of further terrorist attacks.

There’s just no good news for world economies or corporate profits. Morgan Stanley reported profits down 41% last quarter, before the attack.

Estimates of insurers’ losses in the Trade Center disaster continue to rise, and now British airlines are threatening to stop flying unless they get some government help.

Overseas markets have plunged. In London, the FTSE is down 165 points to 4,557. In Paris, the CAC 40 is down 151 points to 3,738. Germany’s DAX is off 232 points to 3,810. The other continental markets are down between 3% and 5% generally, dropping to four year lows.

Overnight in Asia, stocks were weak too. The Nikkei dropped another 271 points to 9,514. In Hong Kong, the Hang Seng lost 343 points to 8,974.

In Canada, retail sales reportedly fell for a second consecutive month in July, led by lower sales by gas stations. Retailers sold $24.1 billion worth of goods and services in July, 0.5% less than in June. Excluding sales by gasoline service stations, retail sales advanced 0.3% in July and 0.2% in June. In constant dollars, retail sales remained unchanged in July.

In M&A news, Gold Fields Limited says it has reached agreement with WMC Resources Limited to purchase its St Ives and Agnew gold operations in Western Australia for US$232 million plus a contingent royalty. The consideration is made up of US$180 million in cash and US$52 million of Gold Fields Shares.